The German rental laws seem to be a jungle full of rules and exemptions. And to be honest, it's not the wildest story you'll find yourself digging into when going to Germany as an expat.
However, as dull as it might sound, the topic of tenant rights in Germany is pretty important. It’ll surely make your search for a new home in Germany easier and make you more confident when signing a rental contract.
So bear with us as we walk you through the rental laws in Germany, explain your tenant rights in Germany and guide you through renting, tenancy agreements, and terminating rental contracts in Germany.
Kaltmiete, Warmmiete, deposit: What’s it all about?
Looking at the descriptions of the accommodation, you'll quickly get the hang of it: there's a reference to Kaltmiete, Warmmiete, and a triple Kaution (deposit). What's it all about?
As the name suggests, Kaltmiete (cold rent) is the rent for the bare flat, i.e. without heating, electricity, or the internet. So, should you rent a flat with Kaltmiete, then this must be stated in the rental contract.
A flat is considered to be with Warmmiete if you can move into a warm home. All additional costs such as heating and electricity are already included in the rent.
No matter whether it’s Warm- or Kaltmiete: The rent must be paid by the first of each month.
Want to know more about service costs in Germany? Head over to our guide!
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Every time you rent accommodation in Germany, the landlord will ask you for a deposit as this is common practice in Germany. The amount varies depending on the landlord. At times the deposit can be as little as one month's rent, but no more than three months' rent.
Types of rental agreements in Germany
You’ll come across two major types of rental agreements in Germany; indefinite (unbefristet) and fixed-term (befristet).
In either case, keep in mind that minimum rental periods in Germany can be lengthy. Most of the German landlords will demand an initial lease period of 2 years.
Indefinite rental agreement
Indefinite rental agreements in Germany have no termination date. That means that tenants can end their lease by providing a notice. However a landlord can only terminate a rental contract under specific circ*mstances.
Fixed term rental agreement
Fixed term rental agreements in Germany have move-in and move-out dates outlined in the contract. Neither party is obliged to renew the lease agreement after its expiration. You’ll often come across such agreements when looking for student accommodation in Germany.
What your rental contract ought to cover
Splendid, you've already mastered the first hurdle: you’ve found your own home in Germany! But before you sign your rental contract, let's go through it step by step.
The tenancy agreement between you and the landlord sets out all the details in written form - and with it, all rights and obligations of both parties. So before signing, make sure that your rights and obligations are clear to you and that there is nothing missing.
A rental contract should include the following aspects:
Details of the tenant and landlord: the first name, surname and full address must be given
Details of the rental object: the accommodation needs to be fully described
General information such as an address, location, floor
Rental conditions: rent including bills (Warmiete) or excluding bills (Kaltmiete)
Utilities and operating costs (property tax, refuse charges, sewage)
Inventory (if the flat is furnished): make sure that if something is broken, it’s written down here during the inspection
The term in which condition the flat must be handed back
Parking (if available)
Deposit amount
Rental start
Rental payments
Due date of payments
Bank details
Conditions under which the rent can be increased
House rules
So, before signing the contract, take a little time to read it carefully – and then feel free to sign it.
By the way, not too much can go wrong. Even if you sign a rental agreement, German tenancy law is pretty much in favour of the tenant. In other words, it gives you extra protection from the law!
Handing over accommodation in Germany
Once you hold the keys to your home in your hand and take a tour around with the owner, you're almost set! All that's missing is the official handover of accommodation. At this point, you will review the inventory (especially in the case of furnished flats), inspect and meticulously describe the state of the flat. Have a close look and write down whatever you notice.
Typically, you are allowed to alter most things in rental flats: from the colour of the walls to the shelves hanging on them. However, you're expected to put everything back in its original state when you move out. So, upon moving out, the landlord will - unless otherwise agreed - have the flat with white walls and thoroughly cleaned. Most rental agreements state this beforehand.
Registering your address in Germany
Once you found your dream house in Germany, it’s important that you register your new address within 14 days. Make sure you bring your filled registration form, identity document, rental agreement and a proof of residence certificate.
Rent Increase in Germany
As you saw above, a rental contract often has a clause that specifies the terms for the potential rent increase. But be mindful that German rental law states that the landlord can’t increase rental prices within the first 12 months.
The landlord is allowed however to increase the rent up to 15% within a 3 year period. But this increase should be justified. In fact, the tenant can refuse to pay the increased amount if they think the landlord is asking too much.
Your local tenant association is usually the right place to look for information about rental statistics in your area which you can base your decision on.
Terminating your rental contract in Germany
Luckily, a rental contract won't tie you to a home as tightly as if you'd bought it. Certainly a good deal for those that tend to be a little fickle.
But keep in mind that to be able to terminate your German rental contract you have to comply with a three months notice period, unless your contract states otherwise.
The German Civil Code (Bürgerliches Gesetzbuch) stipulates the following:
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"Notice of termination [by the tenant] is permissible at the latest on the third working day of a calendar month with effect from the end of the month after next.”
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In other words: you have to submit the notice of termination by the third day of the month at the latest and can then move out in three months from that time. Say: If you give notice on 3 May, you will be out of the flat by 31 July (May, June, July).
To terminate your tenancy agreement, simply write a letter to the landlord and send it in written form and on paper (remember, don’t send it by email, only a letter counts!). Explain the intention to terminate the lease (without giving specific reasons) and get it signed by the main tenant of the flat. Ta-da, you'll be out in three months!
Depending on the landlord, you can also speed up the process a bit by looking for a new tenant who can move in earlier. However, you’ll first have to agree on this with your landlord.
Know your tenant rights in Germany
Getting a grip on your tenant rights in Germany could easily prove to be challenging. And luckily, you don't need to fight for your tenant rights in Germany in most cases simply because most landlords play by the rules.
However, to be safe and sound, there are a few important tenant rights in Germany that you should know.
1. Protection from eviction in Germany
As a tenant in Germany, you are under the protection of the law. This means you’re safe from sudden evictions and the like. Every tenant in Germany is protected by the legal notice of contract termination of at least 3 months. The longer you reside in the apartment, the longer the notice period becomes. If you reside in your flat for 5 - 8 years, your landlord has to give you a 6-month notice, and for any period longer than that - a 9-month notice.
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Additionally, your landlord can’t cancel your rental contract (Mietvertrag) without a legally valid reason (berechtigtes Interesse).
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As a tenant, however, you can cancel an open ended rental contract at any time, as long as you give the landlord 3 months notice. The landlord does have the ability to start eviction proceedings if you don’t pay the rent for 2 or more months. So, if you’re having financial difficulties, make sure to talk to your landlord about it, to prevent that kind of escalation.
2. Return of deposit in Germany
At the start of your tenancy, you pay a deposit (Kaution) to cover for any damages you might cause during your stay in the rental property. In order to prevent the landlord from pulling a fast one by blaming existing damages on your stay, you should schedule a walk-through with the landlord.
During this walk-through, you inspect the place for any scratches, damage, stains and any form of wear and tear that might already be there. Compile a list of any damages and make sure you take pictures. Make sure the landlord signs the document with all the information in it.
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To prevent paying for damages to your apartment and furniture made during your lease, we advise you to take up liability insurance.
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3. Rent reduction and withholding in Germany
If there’s a critical malfunctioning or defect in your apartment, you are allowed to reduce your rent to compensate for the inconvenience. You can do that single-handedly and a court approval isn’t necessary. As long as the rent decrease is small and proportionate to the problem it should be approved without dispute.
To initiate this process, simply inform your landlord about the problem in writing and allow for adequate time to fix it. If your landlord doesn’t take any action, you’re allowed to decrease your rent or withhold it completely if the problem critically affects your life.
However, before deciding to reduce or withhold your rent in Germany, we recommend first seeking advice from your local Tenant Association, or the Centre for Consumer Protection in Europe.
Rent protection association (Mietschutzverein) guides you with German tenancy law
Should you get the feeling your landlord is not acting with fair means, you better find the Mietschutzverein (tenants' protection association), which stands by you with its expertise and expert knowledge of your tenancy rights in Germany.
Now, do you suspect that your tenancy agreement contains some odd clauses? That’s one of the reasons you might want to reach out to the tenancy protection association. With their skilled sense of judgement, they can quickly spot any oddities in your tenancy agreement.
Once you’ve joined the Mietschutzverein and you're a member for a few weeks, legal costs arising from a dispute with your landlord will be covered. Of course, we keep our fingers crossed that you’ll never get into this situation!
Just about every city offers its own tenancy protection association. However, if you can't find one on Google, simply call the German Rental Association directly (0221/94077-0) or write an email (info@mieterbund.de).
On a last note, we recommend you use a reliable rental platform when looking for your new home abroad.
In HousingAnywhere, we know all about the struggles expats face when navigating unfamiliar waters. And whatever destination in Germany you choose, we make sure your relocation goes as smoothly as possible!
Good luck in your search!
Please reach out to content@housinganywhere.com if you have any suggestions or inquiries about the content on this page.
However, the time interval between the notice and the eviction can vary a lot, from 3 to 9 months, depending on the length of the rental relationship and on the urgency of the situation.
As a tenant in Germany, you are under the protection of the law. This means you're safe from sudden evictions and the like. Every tenant in Germany is protected by the legal notice of contract termination of at least 3 months. The longer you reside in the apartment, the longer the notice period becomes.
If you experience any problems with your landlord, for example, if they are failing to fix something or being unresponsive, you could take some of the following steps: Submit a complaint to your landlord in writing. Consult with your local tenants' association to have them intervene on your behalf. Contact a lawyer.
Leases have a 3 month notice period (Kündigungsfrist). If you want to end your lease, you must tell your landlord 3 months in advance. Some leases have a shorter notice period, but the maximum notice period is 3 month. You must cancel before the 3rd work day of the month.
There is no legal limit, but 6 months is normal. It should not take more than 6 months without a good reason. The landlord usually keeps your Kaution until they know how much utilities (Nebenkosten) you used.
You're behind on your rental payments: a German landlord can ask the court for eviction if your rental arrears amount up to 2 months of rent or more. Even if you're making partial payments, if you're behind more than the sum of 2 months rent, the landlord can push for eviction.
The gas price freeze (for gas and heat) will be in effect for both renters and owners from March 1st, 2023 to April 30th, 2024. The relief amounts for January and February 2023 will also be retrospectively credited in March.
Rental laws in Germany also dictate that tenants have a right to privacy and quiet enjoyment of their home. This means that landlords cannot enter your apartment without prior notice or permission, except in emergencies. Additionally, landlords are not allowed to change your apartment without your consent.
Rent control has been in force in many of Germany's largest cities, including Hamburg, Berlin, Stuttgart and Munich, for many years. This stipulates that “cold” rents (excluding utilities) cannot be more than 10 percent higher than the local comparative rent.
In Germany, the Kaution, also known as the Mietkaution, is a security deposit that renters must pay to their landlords upon signing a rental agreement. It is normally equal to three months' rent and is meant to safeguard the landlord in the event that the renter causes property damage or fails to pay the rent.
Normally rents for apartments are not negotiable. For larger objects like houses they might be, depending on the market. Don't press too much. German landlords very often are feeling offended when pressed hard or impolitely with regards to the rent, and just reject to take you as tenant.
Canceling a rental contract in Germany: What you need to know. The legal period of notice for a rental contract is three months. As a rule, your cancellation has to be in writing.
Rent increases are not permitted more than once per year and they must be set out in the contract. If there are no clauses in the rental agreement about increases, the landlord can only increase the rent under specific circ*mstances: The rent is lower than the current market average for the type of property.
Private landlords own the vast majority of rental housing
More than half of landlords are non-professional owners—i.e., individuals, trusts, or homeowners' associations (Figure 2). Public entities or privately owned housing companies own less than one-quarter of rental dwellings.
In general, according to the German Act on Foreign Nationals it has to be guaranteed that the family has sufficient financial means to support itself, that adequate accommodation is available (at least 13 square meters per person), and that all family members are sufficiently covered by a health insurance.
Even if your lease or rental agreement doesn't have a specific requirement that the landlord must approve additional tenants, it's normally wise to notify your landlord before moving in another person.
Liability insurance pays if you damage or destroy another person's belongings. For example, if you break a vase or spill coffee on a friend's smartphone. Most Germans have that kind of insurance because it is inexpensive and protects you from having to pay for the damage with your own money.
All you need are your passport and money for the initial deposit. You may also be asked to show proof of a German address. If you bring cash, your account is opened immediately. If you are transferring funds from your home bank, it may take some time for the amount to be credited to your account.
How is rental income taxed in Germany? German law requires every person to tax their income. Therefore, if you rent an apartment or a house, you will have to pay taxes on the rental income. Once the rental income tax is calculated, a solidarity surcharge of 5.5% is added.
There's another pretty simple reason Germans are less likely to own houses. The government doesn't encourage it. Unlike high-homeownership countries like Spain, Ireland and the US, Germany doesn't let homeowners deduct mortgage-interest payments from their taxes.
For example, you're allowed to deduct a portion of your rental costs. The condition for this, however, is that you have no other work space available to carry out your business duties. In 2022, you can deduct up to €1,250 in total.
Technically, you cannot get German citizenship or permanent residency simply by investing in real estate. However, if you can live in Germany relying solely on your own funds, then you may be granted a temporary residence permit if you purchase real estate.
You may well have heard the expression "taking everything but the kitchen sink." Well in Germany, when you move house you often take that too, even if you're just letting.
We show that a significant part of the low homeownership rate in Germany relative to other countries can be explained by the relatively high real-estate transfer tax, the absence of mortgage interest payments tax-deductibility for owner-occupiers and the existence of a social housing sector.
Cold rent means that you pay basic rent for the residence and there are no extra costs included in your monthly payment. Warm rent means that your monthly payment includes the basic rent for the residence and additional costs – called Umlagen or Nebenkosten.
In Germany, the courts have ruled that landlords are not allowed to impose a blanket ban on pets of all kinds. This means if you want to share your home with an animal, you should be able to do so.
In general, average rental prices in Germany are reasonable and are around 5% lower than in the UK, for example. The average rent in Germany is about 1,300 EUR (1,400 USD), taking into account all types of rental properties, whether it's a furnished or unfurnished flat or house.
Germany: German residents can generally borrow up to 80% of the assessed property value, but non-residents usually get the short end of the stick. They have to put up 40–45% of the property value as down payment.
Property owners pay tax (Grundsteuer) on their owned property once per year. The tax is collected from cities, municipalities, and communities and is calculated according to the property and building value.
The short answer is, yes.You can negotiate your rent. When you're renting an apartment, the price you pay isn't set in stone. But before you even consider negotiating, you need to make sure you know why you're asking for a discount.
Garden leave is a type of absence where an employee, upon giving notice of resignation, is requested not to return to the workplace but continues to receive pay. This period is taken in anticipation of the employee's departure from the company.
contractual notice periods in Germany. The minimum statutory notice period for both parties is four weeks taking effect either on the fifteenth day or the end of a calendar month.
As you saw above, a rental contract often has a clause that specifies the terms for the potential rent increase. But be mindful that German rental law states that the landlord can't increase rental prices within the first 12 months. The landlord is allowed however to increase the rent up to 15% within a 3 year period.
Unlike in other countries, such as Denmark and Switzerland, there are no restrictions to foreigners to purchase real estate in Germany. Currently, many foreign purchasers acquire properties in large German cities such as Berlin, Frankfurt and Munich.
In Germany, property is protected by the Constitution as an essential right in Article 14. Only the content and limits of ownership can be determined by law.
BERLIN, July 7 (Reuters) - Germany's largest residential landlord Vonovia (VNAn.DE) will reduce heating for tenants in many of its apartments at night, as Europe's biggest economy braces for a possible gas crunch with falling Russian fossil fuel imports.
What is the average cost of rent in Germany? Average rent costs in Germany range from €300 to €800 per calendar month for a room in shared accommodation and from €500 to €1,346 for a one-bedroom flat. The overall average rental price is €750 for a one-bedroom apartment.
All told, how high is the cost of living in Germany? According to Destatis, it adds up to €2,507 a month, with 37% of this going towards housing and energy costs and 15% on food, alcohol, and tobacco (as of September 2022). If you calculate this on an annual basis, the average cost of living in Germany is €30,084.
Assuming your tenant is prepared to play-ball and voluntarily vacate after receiving sufficient notice is given, they will vacate the property on the date specified in the notice, without any problems. This can take between 14 days and 2 months.
The eviction process can take 30 - 45 days, or longer. The time starts from when you have eviction court forms delivered to your tenant to the time they must move out. Choose any box, below, to learn more about the eviction process and get step-by-step instructions.
If the tenant does not move out of the rental unit at the end of the three days, then the landlord can file an eviction lawsuit (also known as a forcible detainer suit) with the court. (Tex. Prop. Code § 24.005 (2021).)
If the employee has been employed for two years, one month notice is required. If the employee has been employed for five years, two months notice is required. If the employee has been employed for eight years, three months resignation notice is required.
Many employment contracts also stipulate longer notice periods, e.g. three months. This is also permitted by law. But watch out: Different periods of notice apply during the probationary period. In both cases, you must give notice in writing.
What is the average cost of rent in Germany? Average rent costs in Germany range from €300 to €800 per calendar month for a room in shared accommodation and from €500 to €1,346 for a one-bedroom flat.
The index rent is based on the consumer price index set by the Federal Statistical Office (Statistisches Bundesamt) and may be increased in line with the cost of living in Germany. The maximum amount of the rent increase depends on the change in the consumer price index.
Tax treatment. There's another pretty simple reason Germans are less likely to own houses. The government doesn't encourage it. Unlike high-homeownership countries like Spain, Ireland and the US, Germany doesn't let homeowners deduct mortgage-interest payments from their taxes.
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